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Posted By Phizzle Hi,
No strictly H&S but if anyone has a HR cap that they wear every now and again....
What are the legalities for wage cuts / reductions either voluntarily or otherwise.
Can a company reduce wages, if so what implications (i.e. notice periods, contract changes etc. etc.) are required?
Best Regards
P
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Posted By Lukasz Good thread, I will be interested in the answer as well, however I think that you can find other forum where you should seek answer.
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Posted By Steve Cartwright Have a look on the ACAS website.
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Posted By Phizzle Checked ACAS, couldn't find any specific information.
I was wondering if any fellow practitioners if had any experience of this - seeing as we inevitably get dragged into such situations!
Not a member of any other forums I'm afraid!
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Posted By CFT I won't go into any detail because the question is in fact an HR related one - and as this forum is for workplace H&S - I'll include a comprehensive link that should answer your questions.If not per se then use the links withinfor additional clarity. http://www.direct.gov.uk...ndConditions/DG_10028079CFT
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Posted By CFT I won't go into any detail because the question is in fact an HR related one - and as this forum is for workplace H&S - I'll include a comprehensive link that should answer your questions. If not per se, then use the links within for additional clarity. http://www.direct.gov.uk...ndConditions/DG_10028079CFT
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Posted By Swis Swis sneaks in...
Wage Cuts??
Swis runs away in agony to hills (Daunting memories)
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Posted By sylvia I'd like to bring this thread back to life, as, although it is HR related, there are local authority safety professionals facing pay cuts, some of up to £8000pa, (about a 30% drop) in one hit, in about a years time. This sounds unbelievable, and let's hope it turns out not to be approved, although I suspect it might ultimately be modified to result in a pay cut of "only" about 10-15%.
This is in the name of "equal pay", from a national agreement in the late 90's and is turning into a real scandal as yet unrecognised by the wider world.
I have wondered if such a proposal could be interpreted as "redundancy" and a case of constructive dismissal brought - although that does require that those affected actually do quit - not an easy decision in times of recession.
There is no information on such a situation on any HR / legal sites I can find, so if anyone has found any reference or info please say.
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Posted By Ron Hunter Sylvia, these measures have wide TU support and 'justification' as they address "equality" and "low pay" issues, and are unlikely to be exposed in any way as a scandal because (as is usually the case) only a silent minority will suffer (and suffer greatly). I'm with you though - an absolute swindle!
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Posted By Safe System I was reading an article on this last week..
A large portion of companies (albeit the majority are car companies)have "suggested" 10% pay decreases for staff...
By suggest i mean:
"We are looking at making most of you redundant.. one way we can look at minimising this is for you to take pay decreases."
Most people will take the 10% and carry on working due to job situation but it was mentioned in the article that its good to note that before accepting this option you get it in writing that it will last a maximum of 12 months before pay goes back up again.
As for 30%... ouch..
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Posted By Descarte Took my 10% in March
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Posted By Swis A suggestion…
Why don’t all ‘employed’ safety practitioners give up 10% of their wages to ease off the employers. Also ‘self employed’ could waive off 10% of their fee to help clients beating the recession. What would you say to this?
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Posted By Swis MY TURN FIRST>>>
I don't agree with this. I'd rather get a sack (redundancy) due to recession but I'm not willing to agree a wage cut.
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Posted By GeoffB4 And I would rather you took this topic to a relevant board/forum. I'm really not interested in HR topics that are entirely unrelated to H&S.
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Posted By grahams I think this is an interesting thread. If someone does not want to read it then don't open it. I am shocked to hear of whats happening on the pay cut front.
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Posted By GeoffB4 AUG1 Moderators. This is not a topic for this forum.
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Posted By grahams The title of this forum is 'OSH discussion forum' we have already had threads showing the effect the pay cuts issue on fellow professionals in the OSH environment. As I have aldeady said to the previous respondee if you dont want to read them, then dont. But please dont throw your toys your of your pram in stopping others reading what is a serious issue affecting OSH people.
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Posted By joolz040770 OK - with my HR Hat on ...
A job/jobs can be regraded due restructure of an organisation or a specific department, and employers can offer a similar job at a lesser salary; but a process must be followed.
Sometimes this is the means to an end and is done for good reasons (i.e. to keep people in a job and not have compulsory redundancies), and sometimes it's for other reasons ...
If you want to give me specifics I can provide a better response.
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Posted By GeoffB4 quote:.. if you dont want to read them, then dont. But please dont throw your toys your of your pram in stopping others reading what is a serious issue affecting OSH people.
It is clear this topic does not belong on this forum, has nothing to do with H&S, and is clashing with AUG1!
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Posted By Linda Crossland-Clarke Hi folks
No this isn't pure H&S, however, as a manager this sort of information would add to my professional development and capabilities of implementing H&S as a consultant knowing the effects it could have on the general culture of the organisation.
Regards
Linda
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Posted By Phil Rose I won't enter the AUG 1 argument etc. An HR forum would probably yield better results though!
I for one would prefer the wage cut route to redundancy and I would think that the majority of people would prob feel that way.
I think it is legal to change contractual terms and in that I assume the salary with sufficient notice etc
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Posted By Chris Black First rant I hate it when pople self-righteously try to get threads closed. We are here to talk.
Second rant
LA advisers and managers tend to be experienced all-rounders and, in my experience, will probably be well up the pecking order for jobs in other sectors. This means there will be a mass exodus of good people. There will then be a need created and the LAs will have to go to the market for replacements. Finding no-one to fill their roles for the money on offer they will be forced to offer more-meaning they will have lost good people (denying them the benefits of service) for no gain.
Makes perfect sense!
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Posted By shirley There is an article in the magazine Employee Benefits (June 2009) called A Bitter Pill - page 26. It may be printed on their website - www.employeebenefits.co.ukIt probably answers all your questions.
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Posted By rayclark1977 As far as I'm aware if an employer wishes to make changes to an employees contract (wages included) then they are legally required to give 90 days notice. Just a thought...
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Posted By Francis E S Hone GeoffB4
We are are enjoying this debate on wage cuts. It is also an H&S topic for those that will be stressed due to the need to retain a certain wage level to uphold there way of life Pay there mortgages bills etc. I will get a wage cut of 30% Next week If not made redundant no service payment notice only. But i will take what I can get before leaving cant work for 30% less wages. impossible situation for some. Ill cope but I'm one of the lucky ones. HR & H&S Sometimes cross over as with other subjects. (Rant over) Back to planning my future Regards Frank
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Posted By Rose Herridge I think i am right in saying that an employer can change salary levels if they have good reason and cause and this would have to be proven.
A period of negiotiation and consultation is then entered into with the company and employee. At the end of the consultation period, usually three months a notice period is raised giving the company the right to terminate that contract and re issue another stating the renewed terms In the event that the employee doesnt agree, then they have the right to raise a formal grievance as long as it is in line with company procedure. One cautionary note to bear in mind is that in the event of redundancy the new wage limit is the figure payments are calculated on. i am aware of a local company who negotiated a huge salary cut for its staff one week and when the majority agreed thinking their jobs were safe - the next week, the company liquidated! a sad state of affairs for all staff involved. More often than not- i am finding the overlap of HR and H&S is getting commonplace. Especially with occupational health and welfare of staff is concerned. Both areas are as important as one another!
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